As we near “halftime” in 2023 (we have to stop calling it “the new year”), it has already proved to be a memorable one for radio. On the one hand, the year has been dotted by some tough news. Rough early going in Q1, a number of radio companies struggling to hit their numbers, a podcasting hiccup, and the rapid emergence of A.I. as a technology to be reckoned with.
But perhaps the biggest story has been the car radio kerfuffle, begun with more disappearing AM radio presence in electric vehicles. At CES, we’ve seen this one coming for a few years now. But no one in the industry – from its leadership to its operators – seemed to take that threat all that seriously. It was almost as if “How dare they remove the AM band from their infotainment systems.”
But dare they did. In fact, Ford took it one step further, announcing the removal of AM from all their vehicles starting in 2024. It turned out to be a move that galvanized the radio broadcasting industry, as well as the U.S. Congress (led by Senator Ed Markey), FEMA, and other unlikely actors you might not expect would step into the fray to defend AM radio’s honor. As we’ve learned from social media trolling these past many years, when you’re attacked, the best thing that can happen is when your “community” rushes to your defense, making your case, and reinforcing your efficacy.
Over the past several weeks, I believe we’ve all learned something about the power, value, and importance of AM radio, not just to radio broadcasters but also to citizens across this vast nation, many of whom rely on the medium for great varieties of reasons.
It’s times like these when you hope a storyteller emerges. To its credit, the NAB stepped up with its “Depend On AM” campaign, complete with resources to help broadcasters “educate listeners about AM radio and give them the opportunity to make their voices heard.”
Notably, the NAB celebrates its 100th anniversary this year, an appropriate time for this grand old membership organization to step up, be heard, and make an impact.
Joined by NASBA – the National Alliance of State Broadcaster Associations – both will co-present an afternoon of sessions and panels next week in D.C. Paul and I will be moderating and emceeing a number of those, featuring some great guests and high profile players in this fast-developing drama.
In retrospect, radio broadcasters owe Ford a backhanded thank-you. Not just the #3 automaker in the U.S., Henry Ford’s company is headquartered down the road in Dearborn, Michigan. They turned out to be the provocateurs that launched the shot heard ’round the radio industry.
But every campaign needs a strong narrative. And that requires an accomplished storyteller. Yes, the RAB’s role is to serve up a volley of strong sales fodder for the industry’s schleppers, whether it’s traditional success stories or multi-platform victories.
When the industry needs that home run – the story that stations, agencies, and the trades will trumpet – it turns to the Wizard of Westwood One, Pierre Bouvard.
It seems like everyone knows Pierre (or at least they should). Technically, he’s the Chief Insights Officer for both Cumulus and Westwood One. But Pierre’s mission is bigger than that.
He develops marketing insights and supportive stories to radio broadcasters no matter their parent company or organization. You can work in commercial, public, or Christian radio and make use of Pierre’s keen view of why radio matters, despite the competition.
I’ve known Pierre for decades, back to his first stint with Arbitron, and later in his role as EVP for Coleman Insights. He has spent most of the last decade championing radio to marketers and advertisers everywhere. But perhaps his best work has come in the form of insights he shares with broadcasters everywhere. Pierre is company agnostic – his articles and observations are open source, available to anyone who can utilize.
And last week, Pierre did it again, publishing a statistically driven narrative that made the case for AM stations everywhere, whether they play gospel, carry farm reports, broadcast play-by-play sports, or offer politically-charged talk and opinions.
Pierre’s article, based on a simple analysis of Nielsen data, ranked the “AM-ness” of more than 140 markets in a concise report that had everyone in radio looking up their metro(s).
But the “gold” in Pierre’s report was to look at the top markets in aggregate, studying what they have in common. What is it about some regions where AM still thrives, making up roughly half or more of the market’s Nielsen subscribers?
Looking at this list, you tell me.
There are big markets (Chicago, Seattle), as well as metros in the Dakotas (Grand Forks, Bismarck). Some are on the west coast while others dot the Midwest. Still, all regions of the country and a wide array of market sizes make up this impressive report.
Every broadcaster I’ve spoken to about Pierre’s analysis has expressed some level of surprise about various rankings – including me. And that’s when data becomes even more powerful – when it challenges your assumptions and even rocks your world.
And along the way, Pierre reminds us that north of 82 million Americans listen to AM radio monthly – roughly one in three U.S. radio listeners.
I’m sure you’ll hear some of his stats bandied about in today’s House Communications and Technology Subcommittee on Capitol Hill.
I have spoken to myriad stakeholders in this conversation about AM radio’s efficacy these past few months. Every time I hear a so-called expert casually blurt out that “No one listens to AM radio anymore,” I direct them to this data.
I don’t have a clue about the type of research auto companies conduct to reach their conclusions about what should stay and what should go on this year’s dashboard touchscreens. Whether it is focus groups (as I’ve heard) or whether they’re pulling usage data directly off the head units of cars and trucks, Pierre’s data compels them to look at an array of markets, representing diverse geographies and metro sizes. You’re going to get a very different look whether you look at New York City, Oshkosh, or San Jose. Like America itself, AM radio serves many masters, tastes, and needs. Many of those stories won’t come across on spreadsheets of data.
At next week’s “Radio’s Road to the Future” event, presented by NASBA and the NAB, we’ll feature a panel that will have AM radio’s programming and audience diversity on display. It will include Tom Brand, President of the the National Association of Farm Broadcasting, Patty Ruiz of Bustos Media, Jim Winston, President of the National Association of Black Owned Broadcasters, and Noelle Garnier from the National Religious Broadcasters.
Each is a prime stakeholder in AM radio’s future, representing a patchwork quilt of listeners that transcends FM’s audience delivery. And of course, their stations provide that service at no charge to those 82 million Americans, even when there are hurricanes, tornadoes, wildfires, and floods.
From FEMA to the U.S. Senate, there are many important voices speaking through the same megaphone.
Not a moment too soon.
To access Pierre’s newest article on AM radio, click here.
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Phil Redo says
I’ve known Pierre since his Arbitron days and he is a great guy and tremendous resource. Still love reading his take on things – like I do with your stuff Fred.
Fred Jacobs says
Appreciated, Phil. Thank you.
CLARK SMIDT says
OUTSTANDING AND ESSENTIAL MESSAGE. ALL BROADCASTERS MUST STAND TOGETHER TO MAKE ALL RADIO COVERAGE EVEN BETTER AND STRONGER! Thank you, to all, especially Senator Ed, Fred & Pierre. 1220watx,com
Fred Jacobs says
Thank you, Clark.
Marty Bender says
One of the most brutal winters on record and the heart of the NFL season…
If you were looking for a strong setup for AM listening—
FAll 2022 was pretty much it.
Fred Jacobs says
Good observation.
Ed Cohen says
Fred,
When I was working with automotive people during my Arbitron and Cumulus time, I always told them they needed to meet Pierre. Explained that he was like Adele or Madonna…if you were in radio and said “Pierre”, everyone knew who you were talking about with just one name. He’s doing a great job.
Nonetheless, it’s worth mentioning that the AM numbers are “stretched” quite a bit. First, the percentages cited are a 7 day, 24 hour cume. In and of itself, that’s fine, but remember two points:
1. Nielsen does not consider translators to be radio stations. If you listen to an FM translator that is rebroadcasting an AM station (and there are thousands of them), the credit is given to the AM signal.
2. Same goes for streams if it’s a Total Line Only situation. The listening to the stream will be credited to the AM signal.
How much does this inflate the “pure AM” cume? No one knows for sure (and that likely includes Nielsen), but it’s probably substantial. That’s not to knock AM, but as researchers, both of us like to have any important caveats made clear.
Fred Jacobs says
I know Pierre appreciates your comment. As for the “sweetening” of the stats, your caveats are appreciated and well-taken.
Paul Ingles says
DATA IS KING! Along with some common sense.
So much legislation is debated by myopic lawmakers who say, when making their case for some trendy legislation, “I don’t know anyone who (fill in the blank)” or “All MY friends say (this)”. Not thinking for a moment about their many many blind spots in their own experience.
Carefully prepped data like this is so crucial for stopping short-sighted, often business-too-friendly legislation or deregulation… (in this case, bowing to the convenience of young car designers and execs who also use the narrow “none of my friends use AM” way of thinking to wipe out the viability of legitimate, important radio operations. )
Don’t know how long we can hold off the AM extinction drive but I’ll say “Long(er) Live AM!”
(Wouldn’t hurt if AM tried some new, creative program ideas in the meantime either)
Fred Jacobs says
Paul, thanks for this, and hopefully a few operators took the time to read you final sentence.